The role of distributors in healthcare

Pharmaceutical distributors save the healthcare industry $33-53 billion per year in healthcare costs.

Advancing connections across healthcare

1,300

manufacturers served by distributors

180K+

dispensing points supplied by distributors

92%

of pharmaceutical sales move through distributors

A world without distributors

What would happen in a world without distributors?

As a pharmaceutical distributor, we efficiently supply hundreds of thousands of sites of care with life-saving medications every day–impacting the health and wellness of millions of people. Our role in healthcare creates value beyond distribution alone.

Enable financial stability

Distributors pay manufacturers up front for products and take on financial ownership and significant risk of collecting payment from provider customers. This allows manufacturers to invest in innovation and other core functions. We also help providers cover the cost of products between dispensing and reimbursement as they manage tight cash flow in an environment where reimbursement is constantly in flux.

Facilitate business intelligence

We provide essential, aggregated data on products and share insights that help manufacturers bring hundreds of life-saving therapies to market annually. Community providers nationwide rely on us for insights to help them navigate change, optimize business performance, implement the latest technology, amplify their value in the community, and most importantly, find more time to focus on what matters most–their patients.

Protect the supply chain

Distributors protect the healthcare supply chain against fraudulent activities that could harm patients. We implement the latest industry-wide solutions and technology to provide vigilant validation. We invest in advanced technology for our distribution centers, providing each location with state-of-the-art equipment to keep our products secure and our associates safe.

The value of pharmaceutical care and the healthcare supply chain

Bob Mauch, Executive Vice President and Group President of AmerisourceBergen, shares insight into how distributors work to bring efficiencies and savings to the healthcare system.

"The ability to get pharmaceuticals to the right place at the right time is predicated on the distributor taking on financial risk, which ultimately benefits manufacturers, healthcare providers, and patients in meaningful ways."

Robert Mauch
Executive Vice President and Group President, AmerisourceBergen

Related insights

Pharmacies

How Do Allocations Work for the Pharma Supply Chain?

Heather Zenk, RPh, PharmD
AmerisourceBergen
April 2020

Manufacturers

How the Pharma Supply Chain is Responding to COVID-19


AmerisourceBergen
April 2020

Recommended reading

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How COVID-19 Strengthened the Supply Chain and Key Takeaways for the Future

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May 19, 2021

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January 19, 2021

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